MADRID, Oct. 4 -- Spanish carmaker SEAT, a subsidiary of Volkswagen, expressed its strong rejection of the European Commission's decision to increase tariffs on Chinese battery electric vehicles (EVs) on Friday as it will jeopardize the company's employment and the European automotive industry.

"As a European company deeply committed to the region, Seat S.A. firmly rejects this decision, which is difficult to understand, especially when compared to the more favorable tariffs applied to non-European competitors," the company said in a statement, according to local media.

If this situation is not reversed, there will be "significant negative consequences both for the company and for the European automotive industry in general," it warned.

The company pointed out tariffs pose a "huge" risk because they manufacture the electric CUPRA Tavascan in the Asian country: "The new tariffs on the CUPRA Tavascan will greatly harm the company's financial stability and could also threaten employment."

"The European Commission's focus on China overlooks the broader impact on European production. A reduction in the number of battery-electric CUPRA Tavascan vehicles could jeopardize Seat S.A.'s ability to meet its fleet CO2 targets in Europe," it stated.

The company added that the tariffs could affect the planned production of "530,000 internal combustion engine vehicles, the equivalent of 90,000 a year, spread between (eastern Spanish city of) Martorell and other locations in the EU."

"Seat will continue to analyze the different scenarios and will undertake all available lines of action with the aim of reducing the level of obligations and their impact, together with the VW Group," it said.

The company called on the EU Commission to constructively pursue the ongoing negotiations with a view to a political solution.

  - Xinhua